Frankfurt reports: The euro is depreciated to the US dollar with crisis currency, Germany must be strong again

China Well -off Network, July 13th. Once the old horse observed the exchange rate of $ 1 against 1 Euro, it was 2002. The significant depreciation of the euro in the near future is not suitable, because from the perspective of Europe, this also makes those raw materials settled in the international market more expensive. There is a strong euro now, but there are several reasons for its weakness.

European Central Bank is located in Frankfurt, Germany

The Frankfurt report on Germany made a comment that, first of all, the US dollar has proven that it is a crisis currency and is very popular during the uncertain period. For decades, US government bonds have been a shelter for investors in almost every country. As a leading economic and military power, the United States continues to benefit from the French people's "excessive privileges". Therefore, the US dollar is currently strengthening many currencies, not just to the euro.

However, the assessment of common currencies has also led to its weakness against the US dollar. For a long time, the European Central Bank has underestimated inflation and is now too cautious in interest rate hikes. This is as much as international investors' potential doubts about the cohesion of the currency alliance in difficult times. Therefore, Germany tends to think that the weakness of the euro is a fate that the Germans suffer.

But things are not so simple. From 2000 to 2002, the euro was weaker than it is now. At that time, the Central Bank of Europe was still following the German central bank. But at the time, Germany was considered a "European sick husband." Today, due to the failure of energy policy and the high degree of industrial prospects, people are worried that Germany will be weak again, and Germany is also promoting the current weakness of the euro.

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